Ukrainian PC market decreased by 5% in 2014

MOSCOW (MRC) - Ukrainian market of polycarbonate (PC) was 4,000 tonnes in January-December 2014, down 5% compared with 2013 level, according to MRC DataScope.

At the same time, Ukraine's imports of injection moulding PC granules decreased to 2,000 tonnes in 2014, down 6% year on year. Imports of sheet extrusion PC increased to 733 tonnes in 2014, up 20% year on year. Last year's consumption of bottle grade PC also increased to 709 tonnes, up 15% year on year. The total reduction in consumption resulted from the the weakening of the injection processing sector.

One of the reasons was the reduction of the exports of injection moulding PC, in particular, to Russia because of the complexity of the logistics in the eastern regions, in which military operations are going. Russia is one of the main consumers of injection moulding components for the automotive and mechanical engineering, produced in Ukraine. Besides, because of the general deterioration of macroeconomic indicators in Russia, purchasing activity significantly decreased in the market of finished products.
Ukrainian PC market completely depends on import of European supplies. Domestic PC prices grew on the back of the hryvnya devaluation regardless of the season or buying activity. Importers said they still faced difficulties with buying of the foreign currency for the payments.
Traders prefer to work on a prepaid basis and rarely provide trade credit (usually 30 days).

The introduction of 5% import duty, including for PC, continued to be coordinated with the EU and IMF. The main market players plan to keep last year's consumption in 2015.
Injection moulding and bottle sectors worked stable throughout the year, the activity in sheet extrusion segment will resume from the beginning of spring. Importers have left prices steady for the Ukrainian market, which should have a positive impact on the market.


MRC

MOSCOW (MRC) -- Evonik Jayhawk Fine Chemicals Corporation has announced improvements to JAYHAWK BTDA Ultrapure, a dianhydride co-monomer used in the production of polyimide films, reported the company on its site.

Key applications include flexible circuitry found in smartphones and tablets.

Dr. Jeff Dimmit, VP of Technology: "We are now at ppm levels for residual acetic acid, as well as greater uniformity of particle size. This will have a significantly favorable impact on our customers’ handling experience." Borys Schafran, Director, Marketing & Business Development, says, "These improvements demonstrate Evonik’s ongoing commitment to providing our customers with a premium product that exceeds expectations."

As MRC informed previously, Evonik Industries, a leading specialty chemicals manufacturer, has recently invested in Nanocomp Oy Ltd. (Lehmo, Finland) and now holds a minority share in the company. It was made as part of an investment syndicate with Finnvera Venture Capital. The investment sum was not disclosed. Nanocomp is a leading developer and producer of micro- and nano-optical structures that are imprinted on polymer films. Their functionalities enable optical systems to achieve higher performance - and to become smaller at the same time.

Evonik, the creative industrial group from Germany, is one of the world leaders in specialty chemicals. Its activities focus on the key megatrends health, nutrition, resource efficiency and globalization. Evonik benefits specifically from its innovative prowess and integrated technology platforms. Evonik is active in over 100 countries around the world. In fiscal 2013 more than 33,500 employees generated sales of around EUR12.9 billion and an operating profit (adjusted EBITDA) of about EUR2.0 billion.
MRC

MOSCOW (MRC) -- Keiyo Monomer is likely to shut a vinyl chloride monomer (VCM) plant for maintenance turnaround, as per Apic-online.

A Polymerupdate source in Japan informed that the plant will be shut in mid-February 2015. It is likely to remain off-stream for around one month.

Located in Chiba, Japan, the plant has a production capacity of 200,000 mt/year.

We remind that, as MRC wrote before, Qatar Vinyl Company (QVC) is expected to shut its ethylene dichloride (EDC) and VCM plants for maintenance.

Located at Mesaieed Industrial city in Qatar, the EDC and VCM plants have production capacities of 500,000 mt/year and 300,000 mt/year, respectively.

Both the plants are likely to be taken off-stream for a maintenance turnaround in March 2014. The period of the shutdown could not be ascertained.
MRC

MOSCOW (MRC) -- British oil giant BP is laying off employees in Houston, Texas, to cope with falling oil prices, but the company declined to say how many jobs will be cut, reported Hydrocarbonprocessing.

The firm expects all of its organizational changes to be completed by the end of the first quarter, with more layoff announcements to come in the next few weeks. In late June 2014, BP had 7,200 employees in Houston when oil prices were higher.

Headcount reductions in its Gulf business have come the same day BP announced it sold around half of its equity stake in two major Gulf oil fields to Chevron. Earlier this week, BP told employees it would freeze pay across the company this year.

"The current price environment has caused operators to look at their cost structure and undertake efforts to drive efficiencies," BP spokesman Brett Clanton said.

As MRC reported earlier, BP had divested more than USd43 billion in assets in recent years to slim down after it incurred USD42 billion in liabilities related to the 2010 Gulf of Mexico oil spill.

Late last year, BP said it would incur restructuring charges of USD1 billion in the fourth quarter of 2014 through the end of 2015. The restructuring charges will stem largely from severance packages after the company makes thousands of layoffs around the world.

BP is one of the world's leading international oil and gas companies, providing its customers with fuel for transportation, energy for heat and light, retail services and petrochemicals products for everyday items. BP Zhuhai is in plans to start a new purified terephthalic acid (PTA) plant in China. The exact start-up schedule of the plant could not be ascertained. To be located in Zhuhai province, China, the plant will have a production capacity of 1.25 million mt/year.
MRC

MOSCOW (MRC) -- Dow has launched HYPERTHERM 2399 Resin for domestic and commercial hot and cold water plumbing pipes, said the producer on its site.

The new resin enhances the flexibility of plastic pipe so installers can bend water lines at turning joints allowing for ease of installation.

"Turning joints have always been a challenge when installing copper, steel and rigid plastic pipe," says Oray Talu, market manager for Dow pipe and irrigation products. "These are typically the first points of failure and a major contributor to call-backs. Pipes made with HYPERTHERM 2399 Resin eliminates the need for breaks at joints, thus reducing the likelihood of leaks and contributing to greater peace of mind."

HYPERTHERM 2399 Resin is the first product to meet US building codes and product standards for plumbing while also achieving Level 5 chlorine-resistance certification. This key accreditation gives contractors and homebuilders the flexibility to install continuous loop, on-demand recirculation, and traditional plumbing systems. HYPERTHERM 2399 Resin provides excellent taste and odor characteristics for great tasting water. Pipes made with HYPERTHERM Resins are natural insulators and help improve the energy efficiency of hot water heating.

As MRC informed previously, in November 2014, Dow Chemical announced an increased divestiture target aligned to further enhance the value of its portfolio and support the company’s market-driven, integrated strategy. On track to complete its goal of realizing USD4.5 billion to USD6 billion in proceeds by year-end 2015, and with additional portfolio management actions underway, Dow is now increasing its divestiture target to USD7 billion to USD8.5 billion to be complete by mid-2016. Since 2013, the company has generated USD2.5 billion in proceeds, reallocating this capital to remunerate shareholders, fund growth and reduce debt.

The Dow Chemical Company is an American multinational chemical corporation. As of 2007, it is the second-largest chemical manufacturer in the world by revenue (after BASF) and as of February 2009, the third-largest chemical company in the world by market capitalization (after BASF and DuPont). Dow is a large producer of plastics, including polystyrene, polyurethane, polyethylene, polypropylene, and synthetic rubber.
MRC